Judge Puts Vitro Affiliates On Hook For $1B In Debt

Law360, New York (March 26, 2012, 7:20 PM EDT) -- A New York state judge ruled Friday that affiliates of bankrupt Mexican glassmaker Vitro SAB de CV are responsible for $1.35 billion in debt, but bondholders will have to wait before they can collect from the affiliates.

Judge Bernard Fried granted summary judgment to the debt's trustee, Wilmington Trust NA, finding that the subsidiaries are liable for the debt — a decision he also reached in December for other bondholders for their own $1.2 billion in Vitro bonds.